Pillars of redundancy communications
July has seen several announcements of job cuts and businesses on the brink of collapse.
Unilever and Dyson plan to make cuts to their workforce; Carpetright is on the brink of collapse, putting more than 1,800 jobs at risk; and one of the UK’s largest plastic surgery providers, SK:N, announced their sudden collapse, blindsiding both staff and customers.
How you handle redundancy communications can have a significant impact on your reputation. In 2022, shipping company P&O sacked 800 employees over Zoom with little warning and no consultation which turned into a PR disaster.
Announcing redundancies is a significant step for any organisation. There will be a lot of information to communicate, but there are some important principles to guide your communications from the start.
Compassion and clarity
Although it’s roles that are made redundant, not individuals, a redundancy process will feel personal to the employee affected. The prospect of losing your job is upsetting and employers need to be empathetic by acknowledging the impact.
Communicating in legalease alone will not only alienate employees directly affected, but should your communications be shared more widely, may alienate key stakeholders also. Employers should signpost support resources available throughout the process, both inside and outside of the organisation.
Employees will also need clarity on the reasons for the redundancy process. Most will not have sight of the organisation’s finances and may not be familiar with all the terminology, and so they will need a clear message early on, otherwise they will be prone to misapprehensions.
Delivery is important
Announcing redundancies is a time for the leadership team to step up and own their strategic decisions.
The medium through which you deliver your message is just as important as the message itself – an in-person announcement is always preferable. Other considerations will need to be made regarding shift workers, those absent, or out of business for other reasons. No one wants to hear their job is at risk through colleagues or via the news before they have heard it first-hand.
Don’t overcommunicate
In times of uncertainty, it’s tempting to flood stakeholders with information.
If your organisation has a recognised trade union, much of the redundancy process will be subject to communication restrictions. You will need to be careful not to jeopardise any negotiation process.
Equally, you must ensure that you prioritise the right people in the right order, and that your communications are consistent, especially when it comes to your rationale for redundancies. You do not want different stakeholders comparing notes and finding that they have been briefed on different things.
If you are an organisation planning on restructuring or making redundancies, Alder can help you in managing redundancy communications. We also have a range of services designed to protect your reputation through times of uncertainty and change. Contact [email protected] or call 020 7692 5675 to speak with our specialist team.